Bitwise ETF Gets SEC Approval, Now Awaiting Final S-1 Clearance For Trading
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The US Securities and Exchange Commission (SEC) has agreed to the 19B-4 request for Bitwise’s Bitcoin-Ethereum exchange-traded fund (ETF). This choice brings NYSE Arca closer to letting people buy and sell shares of the fund.
In its message, the SEC said that the plan follows the rules of the Exchange Act. These rules states that exchange laws should help stop cheating and manipulation while keeping investors and the public safe.
NYSE Arca sent the 19B-4 form for the ETF on November 26, 2024. The SEC gave its approval on Thursday, because it fits the Exchange Act rules. But people cannot trade it yet until the SEC agrees to the fund’s S-1 registration form.
The Bitwise ETF Trust Will Hold Spot Bitcoin And Ether
When fully allowed, the Bitwise ETF Trust will keep both spot Bitcoin and spot Ether. The trust seeks to give people a way to invest in these assets based on how big they are in the market. The fund’s value and value per share will be counted at 4:00 p.m. ET every trading day.
Many crypto companies have sent ETF requests to the SEC. People in the market think the new Trump government might change rules, making more companies ask for crypto-based funds.
Since November, the SEC has gotten requests for ETFs linked to assets like Solana, XRP, and Litecoin. VanEck and ProShares have sent forms for XRP, Litecoin, and Solana ETFs. Bitwise has also asked for a Dogecoin ETF.
According to reports, Coinbase Derivatives has asked to list new future contracts for Solana and Hedera. If allowed, the Solana future contract will have a size of 100 SOL.
In December 2024, the SEC gave the green light to requests from Nasdaq and Cboe BZX Exchange to let people buy and sell shares of crypto index ETFs from Hashdex and Franklin Templeton. These funds first hold spot Bitcoin and Ether, but they might add other crypto assets. Experts in the market have seen strong interest from investors in these products.
A Judge Ordered The SEC To Stop Its 16-year-Old Case About Allen Stanford’s Fraud
Earlier this week, a judge told the U.S. Securities and Exchange Commission to stop its 16-year-old case about Allen Stanford’s $7.2 billion scam. The judge told Stanford and two former workers to pay money, but most of it will not be collected.
On Wednesday, Chief Judge David Godbey of the Dallas federal court slapped Stanford with a $5.9 billion fine. Stanford is already in prison for 110 years after being found guilty in 2012 for scamming about 18,000 investors.
Godbey told Stanford Financial Group’s former Chief Financial Officer James Davis to pay $17.66 million, including a $5 million fine, and former accounting manager Gilberto Lopez to pay $3.42 million for helping with the fraud.
Officials said Stanford sold fake high-paying deposit certificates through his Antigua-based Stanford International Bank for 20 years. He used investors’ money to make risky bets and pay for his rich lifestyle.
The judge also said the billions of dollars owed by Stanford’s companies are covered by court-appointed receiver Ralph Janvey, who got back more than $2.5 billion for victims, including $1.2 billion from Toronto-Dominion Bank (TD.TO).
